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What If China Just Walks Away?

"Sometimes you just have to walk away."

"Sometimes you just have to walk away."
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1 comment on “What If China Just Walks Away?

  1. 40,000 headmen

    “It appears that Beijing hasn’t quite reached their breaking point with the administration…”. Actually, I think they did quite a while ago. They’ve just been stringing them along, and then some. To wit, China allowed Liu He to negotiate approximately 50 ‘concessions’, and then turned around and said meiyou(the Chinese word for no?) to all of it. Not just some of it. All of it. The only offer for a deal Forrest Trump was ever going to get with China was the same kind of offer that Wimpy made in the Popeye cartoon. They would gladly pay Forrest in the year 2525(yes, a Zager and Evans reference) for a promise to buy more stuff today. That kind of deal, however, was only possible in the very early days of the Trump Administration before they may have had a real handle on who they were dealing with. Steve Massocca of Wedbush was on CNBC about a week ago and said that he thought that Trump would strike a deal to enhance his prospects in the 2020 election, but that come 2020 the gloves would be off and that it would become an all out trade war. Mr. Massocca somehow thinks that only he and the person on the other side of the camera were privy to this knowledge. I have thought this for the last 2 years. It reminded me of Newt Gingrich’s mom and Connie Chung on “Eye To Eye” back in 1995. Newsflash for Mr. Massocca et al, China already knows this. Another nugget that seemed to evade detection was the speech that Xi gave to the Communist Party of China one week before Christmas last year. The headline quote on CNBC’s home page was “Nobody dictates reforms to China”. Not only did I hear no discussion of this statement, I didn’t even hear any mention of it at all. The talking heads are not listening. It is abundantly clear that China is not going to concede to Trump and the US. I don’t think that they’ll even talk until Trump rescinds all the tariffs. Even then, they’ll just stall until the election. They would be stupid and crazy to hand a victory to Trump, and risk that being sufficient to gain a second term. Virtually every talking head on CNBC says that there will be some kind of deal before the election. I say no chance. No deal. Of any kind.

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